Mastercard/Visa Paypass

[dwb]

I noticed a new machine at my local IGA today and asked what it was. It is a smart card payment system supported by Mastercard and Visa that only requires consumers to "tap and go". It is effectively an electronic wallet.

More information is available:
http://www.mastercard.com/au/merchant/en/solutions_resources/paypass/index.html
http://www.mastercard.com/au/merchant/en/solutions_resources/paypass/faq.html

[dwb]

MasterCard® Paypass™
Helping customers to just tap and go.


Your customers can:
Speed through PayPass locations with a quick tap of their MasterCard PayPass card.
Simply tap and go! No waiting. No signing.*
Spend less time online, may come back more frequently and they need not limit their purchases to cash on hand.
Tap N Go™
Consumers expect convenience, and MasterCard PayPass lets them simply "Tap N Go" when making a purchase. What could be simpler? MasterCard PayPass, compatible with both magnetic stripe and chip cards, was developed as an alternative to cash. As we grow to expect more convenience in our everyday life, the concept of a "Tap N Go" way to pay is very appealing. MasterCard PayPass offers added security because the card never leaves your customer's hand.
Merchant Benefits
Faster than cash: handle more customers in less time.
Faster than a card swipe: eliminates the trial and error of customers swiping their own cards or handing their card to sales assistants.
Merchant differentiation: customers are more likely to return to merchants that accept PayPass.
Customers like to use it: MasterCard PayPass is simple and easy to use; a great alternative to cash.
Higher sales receipts: MasterCard PayPass will drive more of your customers to use their cards, and their purchases are not limited to cash on hand.
Added security and fraud protection: particularly when combined with a chip and PIN card.
Start accepting PayPass
For more information on how to start accepting PayPass, download our MasterCard PayPass Getting Started Guide, which contains key considerations for any merchant interested in accepting PayPass.

Also available is our Best Practices Guide, which shows you how to make the most of your PayPass initiative, and a complete listing of PayPass System Requirements so you can make the necessary equipment provisions for accepting PayPass.

For more information, contact your acquirer or your MasterCard representative.

*Signature not required for purchases of $35 or less. PIN may be required for debit.

and

Frequently Asked Questions
What types of merchants will benefit the most from MasterCard PayPass?
How does pricing work for merchants? Are MasterCard PayPass transactions more or less expensive than traditional credit and debit transactions?
How does this "non-verified" transaction change the payment guarantee for the merchant?
What are the costs involved?
What type of technology is used for MasterCard PayPass?
Which vendors are working with MasterCard on MasterCard PayPass?
How much does MasterCard PayPass technology speed up an average/standard cash and credit retail transaction?
What were the most significant findings from the MasterCard consumer payment trends research?
    What types of merchants will benefit the most from MasterCard PayPass?
    MasterCard PayPass is ideal for traditionally cash-only environments where speed is essential, such as fast-food restaurants, drive-thrus, convenience stores, cinemas, self-service petrol stations, public transport, pharmacies, multi-storey car parks and toll roads. The most significant time savings were realised at drive-thrus, where MasterCard PayPass shaved between 12 and 18 seconds off cash purchase times.
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    How does pricing work for merchants? Are MasterCard PayPass transactions more or less expensive than traditional credit and debit transactions?
    The use of MasterCard PayPass technology has no bearing on pricing. Pricing is entirely dependent on the underlying, existing payment application.
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    How does this "non-verified" transaction change the payment guarantee for the merchant?
    The use of MasterCard PayPass does not change the payment guarantee for merchants. Existing rules in place for the product/merchant category in which the transaction takes place continue to apply when data is passed across a contactless interface.
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    What are the costs involved?
    To accept PayPass payments, merchants can choose to implement a plug-in peripheral reader or a fully integrated system. Costs will vary depending on the selected solution.
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    What type of technology is used for MasterCard PayPass?
    In keeping with our overall strategy to create globally interoperable payment solutions, MasterCard PayPass was built according to an open industry standard for radio frequency communications – ISO 14443.
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    Which vendors are working with MasterCard on MasterCard PayPass?
    Current vendors developing products/services for MasterCard PayPass include: (a) Chip Manufacturers: Infineon, Atmel, Philips Semiconductor (b) Card Manufacturers: Colourado Plastics Inc., Oberthur USA (c) Card Personalisation Bureaus: First Data Corp, and (d) ECR/POS Providers: Verifone, OTI Inc., Panasonic, ViVOtech, Hypercom, Counter Solutions.
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    How much does MasterCard PayPass technology speed up an average/standard cash and credit retail transaction?
    The MasterCard PayPass programme builds upon the successful employee trial that recently took place at the MasterCard headquarters in Purchase, New York. Initial results from the employee pilot showed that purchase transaction time was reduced by up to 64%. In addition, the average transaction amount increased by 10% when using a payment card in lieu of cash. However, transaction times are clearly dependent on a number of additional factors relating to a particular merchant's implementation of the technology (e.g. integration into existing point-of-sale systems, dial-up vs. high-speed connections to acquirers, etc.). MasterCard PayPass reduces the transaction time for some elements of the process (no card or cash handover to merchant, no card orientation issues, faster data transmission for card transactions, no change for cash transactions, etc.) so the overall transaction time is generally shorter than the equivalent process today.
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    What were the most significant findings from the MasterCard consumer payment trends research?
    Prior to the launch of the world's first MasterCard OneSMART® PayPass™ Chip Combi Card, better known as the TaiwanMoney Card, MasterCard conducted extensive research among credit and debit cardholders across three major cities in Taiwan.

The majority of survey respondents felt that contactless cards would have a positive impact on speeding up payments (60%), making payments more convenient (57%), and making payments more secure (53%).

Speed and convenience were cited as the primary advantages of contactless cards, and 56% of the respondents stated that they were likely to apply for a contactless card when one becomes available.

Speeding up the checkout process was named as the most important attribute of contactless cards in the survey.

Petrol stations (73%) and supermarkets (70%) were seen as the two places where contactless cards would provide the most value, followed closely by department stores (67%), convenience stores (63%), road tolls (61%) and trains/subways (60%).

Additionally, 59% of those surveyed felt that contactless cards would be easier to use than a traditional magnetic stripe card.

[O_128]

a few questions

1. what happens if your card is stolen?
2. is it linked to a bank account or must you top it up?
3. Why not allow these to be used as Go cards and vice versa?

[dwb]

Further to my post above, NAB now have a low rate credit card with paypass support. Transactions under $100 don´t need pin. http://www.nab.com.au/wps/wcm/connect/nab/campaigns/10/1

In response to:

a few questions

1. what happens if your card is stolen?
2. is it linked to a bank account or must you top it up?
3. Why not allow these to be used as Go cards and vice versa?

I´m guessing it is just like if you lose your wallet with cash, but as soon as you realise you lose it and report it you´re protected.

I see no reason other than technical that Cubic could not be a `merchant`, except for some major possible issues - buses are not always in contact with the database, and fares are determined by the computer when you tag off from where you tag on, although perhaps there is a way that the first swipe authorises and the swipe off confirms? To see what I mean look at the animation on the nab link.

[verbatim9]

Further to my post above, NAB now have a low rate credit card with paypass support. Transactions under $100 don´t need pin. http://www.nab.com.au/wps/wcm/connect/nab/campaigns/10/1

In response to:

a few questions

1. what happens if your card is stolen?
2. is it linked to a bank account or must you top it up?
3. Why not allow these to be used as Go cards and vice versa?

I´m guessing it is just like if you lose your wallet with cash, but as soon as you realise you lose it and report it you´re protected.

I see no reason other than technical that Cubic could not be a `merchant`, except for some major possible issues - buses are not always in contact with the database, and fares are determined by the computer when you tag off from where you tag on, although perhaps there is a way that the first swipe authorises and the swipe off confirms? To see what I mean look at the animation on the nab link.

Well if you loose your card its replaceable but if you loose cash its gone. I have been using the commbank equivalent  at some locations Grill'd and Red Rooster its fast and efficient and hygienic. No cash handling no buttons to touch. Just grab your receipt off the printer and the goods then GO!

[dwb]

Although this is an old topic, and although the paypass would only be able to deduct a fixed fare not a zonal fare, I thought the mainstreamness of this article was worthy of posting to this thread.

Further, it will be interesting in the future if/when the promised mobiles start being manufactured in bulk with NFC... for instance iPhone...

Visa payWave credit cards coming to Woolworths Group retail outlets

Paddy Hintz From: The Courier-Mail May 20, 2011 3:46PM

CUSTOMERS will be able to pay for items under $100 with a special credit card that does not require a signature or PIN, as Woolworths group rolls out the technology this year.

Visa's payWave system makes the so-called "contactless" transactions possible via a special chip in the card.

New machines, the provision of which has just gone to tender, will be installed progressively at cash registers around the country.

All Woolworths brand stores will be part of the rollout, including Woolworths and Safeway supermarkets, Big W, Dick Smith Electronics, Tandy, BWS, Dan Murphy and Woolworths and Safeway petrol outlets.

[dwb]

PS, maybe a fixed fare tag on only with paypass is the answer for tourists while locals still use their Go cards for zonal journeys??

Does anyone know if Cubic/ Visa/ Master use the same RFID standard?

[shiftyphil]

Does anyone know if Cubic/ Visa/ Master use the same RFID standard?

I have noticed that Go Card readers will respond (with 'invalid card' message) to the paypass equipped cards in my wallet, so they definitely use the same frequencies.

[Golliwog]

Does anyone know if Cubic/ Visa/ Master use the same RFID standard?

I have noticed that Go Card readers will respond (with 'invalid card' message) to the paypass equipped cards in my wallet, so they definitely use the same frequencies.

You sure thats the paypass card though, and not a student card or something else? I have my gocard in he same section of my wallet as my paypass card and it works fine but when I first got it I had it near my student card and it would always keep stuffing up on that.

[dwb]

Does anyone know if Cubic/ Visa/ Master use the same RFID standard?

I have noticed that Go Card readers will respond (with 'invalid card' message) to the paypass equipped cards in my wallet, so they definitely use the same frequencies.

You sure thats the paypass card though, and not a student card or something else? I have my gocard in he same section of my wallet as my paypass card and it works fine but when I first got it I had it near my student card and it would always keep stuffing up on that.

Both UQ and QUT student/staff cards interfere with Go card, I'm not sure about Griffith and USC is doing that integrated trial right?

[somebody]

I received a new credit card which also interferes with Go Card.